S.Korea's sovereign credit risk hits 12.5-year low

Source: Xinhua| 2019-11-06 13:58:53|Editor: Xiaoxia
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SEOUL, Nov. 6 (Xinhua) -- South Korea's sovereign credit risk hit the lowest in about 12 and a half years, the Ministry of Economy and Finance said Wednesday.

Premium on the credit default swap, which measures credit risks on the five-year government bonds, was 27 basis points as of Tuesday, marking the lowest since April 30, 2007.

The credit risk retreated to 36 basis points last year amid the improved inter-Korean relations, before falling to the current level on expectations to resolve the global trade dispute.

South Korea's credit risk was higher than the United States' 15 basis points, Japan's 21 basis points and Britain's 25 basis points, but it was lower than India's 69 basis points.